please help me to solve this

0 2 Problem 2 (20 pts): core A small town has two food stores, La Boulangerie, which sells bread, and La Fromagerie, which sells cheese. It costs $1 to make a loaf of bread and $2 to make a 1.00 pound of cheese. A third company, L'Epicerie, enters the market and buys both la Boulangerie and la Fromagerie. The quantities of bread and cheese sold (Q, and es la Q2 respectively, measured in thousands) are given by the equations: Q1 = 8 -P1 - 0.5P2. Q2 = 16 -0.5P, P2 P, is the price in dollars of a loaf of bread, and P2 is the price in dollars of a pound of cheese. (a) Initially, L'Epicerie runs La Boulangerie and La Fromagerie as if they were separate firms, with independent managers who each try to maximize their own profit. What are the Nash equilibrium prices for each division of L'Epicerie? Explain briefly how you solve this problem. (b) the owners of L'Epicerie think that they can make more total profit by coordinating the pricing strategies of the two divisions of their company. What are the joint profit-maximizing prices for bread and cheese under this arrangement? Explain briefly how you solve this problem. B I IE